New Investor seeking SFH in RVA

I am a new member and seeking for some advice on investing rental properties in RVA or central VA in general. I have found wealth of information from BP on investing on real estate. Now willing to connect and start investing on rental properties.

I travel for work but have been looking for some passive income opportunities for the last year or so. After some thought me and my wife agreed rental properties could be a good plan for us. We are not looking for instant ROI. More about buy and hold scenario with positive cash flow and returns coming in the long run. I am looking forward to get started with something within 100k to 120k range.

I did research about some Turn Key investors around US. I am not aware of any reputable ones around RVA/VA though.

Best,

Rafiq

Updated 5 months ago

I would also like to add that given my work schedule I would prefer working with a reliable Property Mgmt firm.
I appreciate your time reading my post and looking forward to some suggestions.
Best,
Rafiq

If you're looking for 100-120K, I'd strongly recommend looking south of the river. Check out Hopewell, Colonial Heights, Chesterfield. There are a lot of jobs down there, and the commute is decent, so don't be afraid to look out of the box!

I have also been looking around Monument Ave. and there are few properties within $150k to $165k range. Seems like a good area given U of R is around. There are few on auction too. But haven't explored this option.

One question, what is a typical ROI you look for on Investments around RVA?

For example, I have found a property around $165k. With 20% down it will cost me around $930 after mortgage, taxes and insurance. So around $250 remaining will give me around 7.5% ROI. Is that a good deal in Richmond? I didn't include the variable costs like vacancies, but hoping it will be minimum given it's an area on demand.

I have also been looking around Monument Ave. and there are few properties within $150k to $165k range. Seems like a good area given U of R is around. There are few on auction too. But haven't explored this option.

One question, what is a typical ROI you look for on Investments around RVA?

For example, I have found a property around $165k. With 20% down it will cost me around $930 after mortgage, taxes and insurance. So around $250 remaining will give me around 7.5% ROI. Is that a good deal in Richmond? I didn't include the variable costs like vacancies, but hoping it will be minimum given it's an area on demand.

You definitely won't find anything for $100-120 on Monument Ave except for the odd condo which will likely have a prohibitively high COA dues. Proximity to U of R is also going to run you a minimum of $230k (and there is a lot more on campus housing at UR than there is VCU).

I also suggest the tri-cities for SFH's 100-120k. Great working class industrial/manufacturing/retail employers throughout southern Chesterfield and tri-cities as well as Virginia State U, Fort Lee. Pretty easy to hit a 1% rent to price ratio there with relatively little or no rehab.

@Rafiq Islam Although the rental market is rather strong right now in Richmond as housing purchase prices continue to rise (like most of the country), you should include a vacancy rate into the equation in case of an eviction.